iShares Global Utilities
Brexit’s Impact: European Utilities Nosedive, National Grid Gains
The struggling European utilities sector encountered another obstacle in the form of Brexit. Upcoming policy changes will pave the way for them in the future.
Why Some Popular Positions Become Risky
According to Factset data, around 93% of companies in the utilities (JXI) sector and 80% in the telecom (IXP) sector reported revenues below estimates in the second quarter of 2016.
Électricité de France’s Operational Insights
Électricité de France’s adjusted return on equity has fallen drastically due to weak power prices and slowing demand.
Focusing on Electricity Demand Growth in Europe
In the European Union, electricity demand rose by ~1.1% in 2015, recovering from a fall of ~2.3% in 2014.
EIX Reported Lower 1Q16 Revenue due to Delayed Rate Case Decision
Edison International (EIX), the smallest of the three Californian utilities by market capitalization, reported its 1Q16 results on May 2, 2016.
What Does American Electric Power’s Current Valuation Indicate?
American Electric Power and FirstEnergy (FE) closed down by 2.5% and 11%, respectively, on April 28 when federal regulators blocked income guarantees for their power plants.
American Electric Power’s 1Q16 Earnings: EPS Fell by 20%
American Electric Power’s total revenues in the quarter came in at $4 billion, missing analysts’ estimates. It reported revenues of $4.7 billion in the same quarter last year.
PEG Maintains Its Guidance despite an Earnings Fall in 1Q16
Public Service Enterprise Group’s (PEG) management reiterated its fiscal 2016 earnings guidance range of $2.80–$3.00 per share.
Why Is Xcel Energy’s Rising Debt So Concerning?
At the end of the fourth quarter of 2015, Xcel Energy’s total debt stood at $13 billion. Its debt-to-equity ratio was 1.3x, and its debt-to-capitalization ratio was 0.6x.
Half of US States Say Obama’s Clean Power Plan Poses Overbearing Rules
Utilities that use high amounts of coal have gotten a momentary breather, as now they have a little more time to adhere to the Clean Power Plan’s targets.
Fortis’s ITC Holdings Acquisition: Could It Have Been Overpriced?
Shares of Fortis corrected by nearly 10% on February 9, 2016, reacting to analysts’ comments of its ITC Holdings acquisition being overpriced.